The broadcast and advertising industries have historically focused on the ability of programming to predictably deliver a mass audience of people defined by broad demographics (e.g. women 35-49 with above average income, men 18-34) as a basis for selling broadcast advertising. This system works in the current configuration of the broadcast industry, and specifically television, because there are a limited number of network channels and local stations. Further, they deliver a limited programming menu to the public, thus, neither the public nor the advertiser has many choices. Even with the advent of cable television, programming is still limited, so that audiences can be predicted.
Through the use of fiber optic cable and individual household satellite signal receptors, it is anticipated that a 500+ channel environment will soon be common. Further, with advances in high capacity video storage and movement toward digital format for television transmission, on-demand television is on the horizon, whereby a subscriber may select between viewing a program at the time of transmission or viewing a program stored in a digital library at a central location in a cable network at a time of the viewer's choosing. With the anticipated increase in viewing options, efficient delivery of defined audience for advertisers through the sale of in-program participation or pre-set time slots on a given channel will become increasingly difficult.
U.S. Pat. No. 5,260,778 to Kaufman, the disclosure of which is herein incorporated by reference, discloses an apparatus for selective distribution of messages over a communications network. A subscriber's converter is addressed according to a multilevel grouping structure. For example, in a two level grouping structure, each converter is assigned as a member of a primary group and may also be assigned to one or more subgroup. Thus, the head end can target a group of subscribers by tagging the appropriate group identifier to the message. Although this apparatus might be useful in a cable network with a large number of channels, it would not be appropriate in a more dynamic viewing on-demand environment where each converter may need to be individually addressed.
It is an object of the present invention to provide a method and system for dynamically distributing commercial programming to selected target households.
It is another object of the invention to distribute commercial programming to particular subscribers based on predetermined characteristics.
In accordance with the present invention, a system and method are provided for distributing commercial messages to an individually addressable subscriber terminal ("converter") on a network. Commercial messages to be distributed over the network contain embedded information identifying categories of recipients for each message. A server, centrally located on the network, selectively tags commercial messages with the converter addresses of subscribers, satisfying the identifying categories. The commercial messages are then transmitted over the network for receipt and display by a television receiver connected to the addressed converters. The addresses are selected by the server based on information stored in a database related to demographic and other information relating to the household of the subscriber in comparison to the same information relating to households which are actual customers of the product or service which is the subject of the commercial.